Bill Text: CA AB1341 | 2017-2018 | Regular Session | Amended
Bill Title: Zero-emission and near-zero-emission vehicles: income tax credits: deduction.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2018-02-01 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB1341 Detail]
Download: California-2017-AB1341-Amended.html
Amended
IN
Assembly
March 29, 2017 |
Assembly Bill | No. 1341 |
Introduced by Assembly Member Calderon |
February 17, 2017 |
LEGISLATIVE COUNSEL'S DIGEST
(4)The Personal Income Tax Law, in modified conformity with federal income tax laws, allows various deductions from gross income in computing adjusted gross income under that law, including deductions for payments to individual retirement accounts, alimony payments, and interest on educational loans.
This bill, for taxable years beginning on
or after January 1, 2018, and before January 1, 2026, would allow a specified deduction, depending on the type of vehicle, in computing adjusted gross income to a qualified taxpayer, as defined, who purchased a used near-zero or zero-emission vehicle during the taxable year, as provided.
(5)Existing law establishes the Air Quality Improvement Program that is administered by the State Air Resources Board for the purposes of funding projects related to, among other things, reduction of criteria air pollutants and improvement of air quality. Pursuant to the Air Quality Improvement Program, the state board has established the Clean Vehicle Rebate Project to promote the production and use of zero-emission vehicles.
The Charge Ahead California Initiative, administered by the state board, includes goals of, among other things, placing in service at least 1,000,000
zero-emission and near-zero-emission vehicles by January 1, 2023, and increasing access for disadvantaged, low-income, and moderate-income communities and consumers to zero-emission and near-zero-emission vehicles.
This bill would require, on or before January 1, 2019, the state board to develop and implement a comprehensive program comprised of a portfolio of incentives to promote zero-emission and near-zero-emission vehicle deployment in the state to drastically increase the use of those vehicles and to meet specified goals established by the Governor and the Legislature.
(6)This bill would require the Franchise Tax Board to make an annual report to the Legislature regarding the tax provisions allowed by the bill.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
(a)On or before January 1, 2019, the state board shall develop and implement a comprehensive program to promote zero-emission and near-zero-emission vehicle deployment in the state to drastically increase the use of those vehicles and to meet the goals established by the Governor and the Legislature, including, but not limited to, the ZEV Action Plan by the Governor’s Interagency Working Group on Zero-Emission Vehicles and the Charge Ahead California Initiative.
(b)(1)The program shall consist of a portfolio of incentives, including, but not limited to, the following:
(A)An employer incentive program, including, but not limited to, incentives targeted at companies located outside population centers or companies whose employees commute from a 50-mile radius.
(B)An incentive program targeted at low-income individuals for the purchase or leasing of zero-emission or near-zero-emission vehicles.
(C)Onroad incentives.
(2)Incentives may include grants, loans, revolving loans, or other appropriate measures.
(3)In implementing the program, the state board shall consult with the State Energy Resources Conservation and Development Commission to identify opportunities for coordination with investment in zero-emission and near-zero-emission vehicle infrastructure pursuant to Section 44272.
(c)Moneys in the Greenhouse Gas Reduction Fund, the Air Quality Improvement Fund, or the Alternative and Renewable Fuel and Vehicle Technology Fund shall be made available, upon appropriation by the Legislature, for the program.
(d)The state board, in accordance with Section 9795 of the Government Code, shall submit an
annual report to the Legislature regarding the efficacy of the program.
SECTION 1.
Section 39719.3 is added to the Health and Safety Code, to read:39719.3.
Moneys from the Greenhouse Gas Reduction Fund, upon appropriation by the Legislature, may be transferred to the General Fund for purposes of reimbursing the General Fund for the costs of the sales tax exemption in Section 6012.4 of the Revenue and Taxation Code and the income tax credit in Section 17060.3 of the Revenue and Taxation Code.SEC. 2.
Section 6012.4 is added to the Revenue and Taxation Code, to read:6012.4.
(a) On or after January 1, 2018, for purposes of this part, “gross receipts” and “sales price” do not include that portion of the cost of aSEC. 3.
Section 17060.3 is added to the Revenue and Taxation Code, to read:17060.3.
(a) For each taxable year beginning on or after January 1, 2018, and before January 1, 2026, there shall be allowed to a qualified taxpayer a credit against the “net tax,” as defined in Section 17039, in an amount equal to the following amounts for new vehicles:(b)
(5)The Franchise Tax Board shall make the information transmitted pursuant to paragraph (4) available to the State Air Resources Board for purposes of reporting on the efficacy and effectiveness of the program as described in Section 44258.6 of the Health and Safety Code.
(c)
(d)
(e)
(a)Section 62 of the Internal Revenue Code, relating to adjusted gross income defined, shall apply, except as otherwise provided.
(b)Section 62(a)(2)(D) of the Internal Revenue Code, relating to certain expenses of elementary and secondary school teachers, shall not apply.
(c)Section 62(a)(21) of the Internal Revenue Code, relating to attorneys fees relating to awards to whistleblowers, shall not apply.
(d)For taxable years beginning on or after January 1, 2018, and before January 1, 2026, Section 62(a) of the Internal Revenue Code is modified to provide
that the deduction under Section 17206.3 shall be allowed in determining adjusted gross income.
(a)For taxable years beginning on or after January 1, 2018, and before January 1, 2026, there shall be allowed as a deduction to a qualified taxpayer who, during the taxable year, purchased a used near-zero or zero-emission vehicle, in the following amounts:
(1)One thousand five hundred dollars ($1,500) for plug-in hybrid electric vehicles with an electric range of more than 20 miles.
(2)Two thousand five hundred dollars ($2,500) for battery electric vehicles.
(3)Five thousand dollars ($5,000) for hydrogen fuel cell electric vehicles.
(b)For the purposes of this section:
(1)“Qualified taxpayer” means an individual or individuals who meet the income eligibility requirements specified by the State Air Resources Board pursuant to subparagraph (B) of paragraph (3) of subdivision (c) of Section 44258.4 of the Health and Safety Code.
(2)“Near-zero-emission vehicle” means a vehicle that utilizes zero-emission technologies, enables technologies that provide a pathway to zero-emissions operations, or incorporates other technologies that significantly reduce criteria pollutants, toxic air contaminants, and greenhouse gas emissions, as defined by the State Air Resources Board in consultation with the State Energy Resources
Conservation and Development Commission consistent with meeting the state’s mid- and long-term air quality standards and climate goals.
(3)“Zero-emission vehicle” means a vehicle that produces no emissions of criteria pollutants, toxic air contaminants, and greenhouse gases when stationary or operating, as determined by the State Air Resources Board.
(c)This section shall remain in effect only until December 1, 2026, and as of that date is repealed.
(a)In accordance with Section 41 of the Revenue and Taxation Code, on or before January 1, 2019, and each January 1 thereafter until January 1, 2027, the Franchise Tax Board, in consultation with the State Board of Equalization, shall annually prepare a written report to the Legislature regarding the efficacy of Sections 6012.4, 17060.3, and 17206.3 of the Revenue and Taxation Code, as added by Sections 2, 3, and 54 of this act.
(b)A report submitted pursuant to subdivision (a) shall be submitted in compliance with Section 9795 of the Government Code.